Equitable Life sell-off 'is near'

Equitable Life has sent a letter to policyholders telling them it expects soon to sell its sales force, administration business, systems and asset management operations, possibly all to the same bidder.

Providing a gleam of hope for policyholders, the letter says: 'The overriding priority is to generate value swiftly in order to strengthen the with-profits fund for the benefit of all members.'

Equitable confirmed it is looking for a compromise deal with holders of its guaranteed annuity rate policies in order to cap its liabilities following last summer's ruling in the House of Lords. Further information on this is expected imminently.

The mutual will next week publish investment returns from the with-profits fund for last year.